Written-off vehicle register:-What is a write-off?

[Bigbjorn]

I have seen a few threads on this site that mention problems with insurers and write-offs. I have obtained a copy of the Dept. of Transport Training Manual for Users of the Written-off Vehicle Register. It is interesting reading. The Insurance Coys. have it all their own way. Take in the following:-

Definition of a total loss.
"Total loss is a vehicle damaged by accident, collision, demolition, dismantling, fire, flood, trespass or other event to the extent that its fair salvage value when added to the cost of repairing it for use on a road or road related area, would be more than its fair market value immediately before the event that caused the damage. "

My experience has been that the insurer sets the market value, usually quite a bit less than you would have to pay to replace your written-off vehicle with an identical vehicle. Court costs make a challenge uneconomic for you. So, your car may be worth $10000 retail to replace, the insurer says market value is $7000. There is $5000 damage, the salvage value is $3000, your $10000 car is written-off. The insurer pays you $7000, gets $3000 for the wreck and is only $4000 out of pocket on a policy you expected them to honour for up to $10000 damage or payout. You then have to find the extra to replace your vehicle.

Definition and assessment guidelines for a statutory write-off
A statutory write-off is:
. a motor vehicle or trailer other than a motor bike that has been immersed in :
. salt water above the doorsill level for any period: or
. fresh water up to the dashboard or steering wheel for more than 48 hours; or
. a motor vehicle or trailer that has been burnt to the extent that it is fit only for wrecking or scrap; or
. a motor vehicle or trailer that has been stripped of all, or a combination of most, interior and exterior body parts, panels and components; or
. a motor vehicle, other than a motor bike, that has been damaged by at least 3 of the following damage indicators:
. damage to an area of the roof equal to or exceeding 300mm by 300mm;
. damage to an area of the cabin floor pan equal to or exceeding 300mm by 300mm;
. damage to an area of the firewall equal to or exceeding 300mm by 300mm;
. any damage to the suspension;
. damage in the form of cracks or breaks to major mechanical components; or
. a motor bike that has been fully immersed in :
.salt water for any period; or
. fresh water for more than 48 hours; or
. has impact damage other than scratching, to the suspension; and
. at least 2 areas of structural frame damage.

A repairable write-off is a vehicle that has been assessed as a total loss but is not a statutory write-off.

A statutory write-off is a vehicle too badly damaged to be repaired to a standard that is safe for road use, therefore it is suitable only for use as
parts or scrap. The vehicles VIN/chassis number will be recorded as a statutory write-off, and the vehicle will not be allowed to be re-registered.

Now, in the past, vehicles with such minimal damage as the minimun standards for writing-off as listed above were routinely and easily repaired, even by the unskilled & unqualified bog-spreaders that infiltrated the smash repair business over the last thirty or so years. The insurers have taken control of the smash repair industry by the financial short and curlys. Dictating uneconomic labour rates, delaying payment, dictating use of second-hand or Asian non-original poor quality but cheap parts, etc. etc. Reputable body men can not afford to use skilled tradesmen or take the time to do a proper job doing insurance work.

[moose]

You're absolutely right.
What was the question?

[FenianEel]

I have seen a few threads on this site that mention problems with insurers and write-offs. I have obtained a copy of the Dept. of Transport Training Manual for Users of the Written-off Vehicle Register.

If it's the QLD one I'm pretty sure I wrote it (that was in another life).

Stat write off means it will never get registered.
Repairable means it can with an inspection a Written off vehicle register check and a certificate and probably about $700 in charges.

It was intended to stop wrecked vehicles being rebirthed, cut and shuts etc. It's the same Aus wide and is govt driven.
Its not in an insurers interest to write off a vehicle unless they have to, and they werent real happy with the "WOVR" initiative, because the price os wrecks/salvage vehicles went through the floor because of this - particularly the more exotic wrecks.

But yes insurance companies aren't my favourites, and they do look after themselves

[Bigbjorn]

If it's the QLD one I'm pretty sure I wrote it (that was in another life).

Stat write off means it will never get registered.
Repairable means it can with an inspection a Written off vehicle register check and a certificate and probably about $700 in charges.

It was intended to stop wrecked vehicles being rebirthed, cut and shuts etc. It's the same Aus wide and is govt driven.
Its not in an insurers interest to write off a vehicle unless they have to, and they werent real happy with the "WOVR" initiative, because the price os wrecks/salvage vehicles went through the floor because of this - particularly the more exotic wrecks.

But yes insurance companies aren't my favourites, and they do look after themselves

Yes , I know the Govt. Depts reasons for this, I knew guys in Sydney who made a living by buying a wreck and then stealing a matching car. One was an MGB specialist. But if the insurer can get away so cheaply by writing off rather than repairing, the system is definitely in their favour. My point is that this system means that vehicles that once were routinely and safely repaired are now write-offs and the insured are carrying the burden. My firm belief is that if the vehicle would cost $x to rreplace then that is the market value and the insurer should be liable for up to that amount in repairs or pay-out. Don't forget the buggers also own the unexpired rego. on a write-off and get that back also, which could be a nice little earner if the car has long reg.

[Bigbjorn]

Yes , I know the Govt. Depts reasons for this, I knew guys in Sydney who made a living by buying a wreck and then stealing a matching car. One was an MGB specialist. But if the insurer can get away so cheaply by writing off rather than repairing, the system is definitely in their favour. My point is that this system means that vehicles that once were routinely and safely repaired are now write-offs and the insured are carrying the burden. My firm belief is that if the vehicle would cost $x to rreplace then that is the market value and the insurer should be liable for up to that amount in repairs or pay-out. Don't forget the buggers also own the unexpired rego. on a write-off and get that back also, which could be a nice little earner if the car has long reg.

I forgot to mention that the insurers get very anxious if you argue about their write-off price and keep delaying proceedings by trying to get more out of them. They are paying storage charges at the towing coys. yard until the insurance process is completed and ownership of the wreck passes to them.

[harro]

Question; If you purchase a secondhand vehicle and later find it to be a repairable write-off, is there any way of finding out the actual damage originally assesed?

[p38arover]

damage to an area of the roof equal to or exceeding 300mm by 300mm;

One foot square damage to the roof? Flamin' heck, that's not much damage.

On a classic, you could just replace the whole roof, rather than repair it.

Hmmm, my P38A is insured for agreed value of about 2-3 times the present market value. When's the next big hail storm..........?

Ron

[DirtyDawg]

I tink Ron hit the nail on the head "agreed Value" is the only way to go with all extras listed, My Insurance company must hate me as everytime something new goe's on it gets added to the policy...

[FenianEel]

Question; If you purchase a secondhand vehicle and later find it to be a repairable write-off, is there any way of finding out the actual damage originally assesed?

Get a "WOVR" check they come with REVS checks generally these days.

If it's either a Repairable or Statutory, it has to be declared at the time of the sale, dealer or private sale, and it has to have a big ass sticker on the windscreen, about 10cm x 10cm. Blue stating "repairable write off - can be registered", Red stating "statutory write off - can never be registered"

[Bigbjorn]

Get a "WOVR" check they come with REVS checks generally these days.

If it's either a Repairable or Statutory, it has to be declared at the time of the sale, dealer or private sale, and it has to have a big ass sticker on the windscreen, about 10cm x 10cm. Blue stating "repairable write off - can be registered", Red stating "statutory write off - can never be registered"

I think Harro means if you buy a second-hand vehicle that is a repaired write-off, is there any obligation on the part of the seller and/or Dept. of Transport to advise you that it once was a write-off, and what was the damage.